Core Insights - The article provides a comprehensive evaluation of Amazon.com in comparison to its major competitors in the Broadline Retail industry, focusing on financial metrics, market position, and growth prospects [1] Company Overview - Amazon is the leading online retailer, with retail-related revenue accounting for approximately 75% of total revenue, followed by Amazon Web Services (15%), advertising services (5% to 10%), and other segments [2] - International sales contribute 25% to 30% of Amazon's non-AWS revenue, with Germany, the United Kingdom, and Japan being the leading markets [2] Financial Metrics Comparison - Amazon's Price to Earnings (P/E) ratio is 32.98, which is lower than the industry average by 0.81x, indicating potential value [5] - The Price to Book (P/B) ratio of 6.91 is 1.13x the industry average, suggesting Amazon may be overvalued in terms of book value [5] - Amazon's Price to Sales (P/S) ratio of 3.48 exceeds the industry average by 1.62x, indicating possible overvaluation in sales performance [5] - The Return on Equity (ROE) stands at 5.68%, slightly above the industry average, reflecting efficient equity utilization [5] - Amazon's EBITDA is $36.6 billion, which is 5.91x above the industry average, indicating strong profitability [5] - The gross profit of $86.89 billion is 5.23x above the industry average, showcasing robust earnings from core operations [5] - Revenue growth of 13.33% surpasses the industry average of 10.76%, demonstrating strong sales expansion [5] Debt-to-Equity Ratio Analysis - Amazon's debt-to-equity (D/E) ratio is 0.4, indicating a lower reliance on debt financing compared to its peers, which is viewed positively by investors [9] - The comparison of D/E ratios among Amazon and its top four peers highlights Amazon's stronger financial position [7][9] Summary of Key Takeaways - Amazon's lower P/E ratio compared to peers suggests potential undervaluation, while high P/B and P/S ratios indicate strong market valuation of its assets and sales [7] - The company's high ROE, EBITDA, gross profit, and revenue growth outperform industry peers, reflecting strong financial performance and growth potential [7]